Clearwater-based technology distribution company Tech Data, the largest company headquartered in the Tampa-St. Pete area, has completed its $8 million merger with Synnex Corp.
The combined company will now be known as TD Synnex and led by Tech Data CEO Rich Hume. Dennis Polk, CEO of Synnex, will move to Executive Chair of the TD Synnex Board of Directors.
The acquisition by California-based Synnex Corp. (NYSE: SNX) was first announced in March and was originally valued at $7.2 billion.
“As a versatile distributor and solutions aggregator for the IT ecosystem, we’re strengthening our entire portfolio of solutions and raising the bar on the value we deliver to customers and vendors with exceptional reach, efficiency and expertise,” Hume said in the company’s Wednesday announcement.
Synnex, with $24.68 billion in gross revenue in 2020, competes for many of the same customers as Tech Data. The combined company will boast about $57 billion in annual revenue, more than 22,000 employees and more than 150,000 customers, according to a news release.
“We are pleased to have completed the merger and are focused on integrating our businesses,” Polk said in the release. “We are energized by the enhanced breadth and depth of our offerings and the opportunities ahead of us to deliver superior value to our stakeholders.”
The close of the merger comes one year after Tech Data’s $6 billion sale to Apollo Global Management Inc. (NYSE: APO).
Under the terms of the merger agreement, Apollo Funds received an aggregate 44 million shares of common stock, net $1.1 billion in cash after giving effect to a $500 million equity contribution by Apollo and the refinancing of Tech Data net debt. Apollo now owns approximately 45% of TD Synnex.